Wakefit Innovations IPO to Open on December 8: RHP Highlights Growth Ambition, Store Expansion and Strong FY25 Recovery

Mumbai | December 1 – Bengaluru-based Wakefit Innovations Ltd, one of India’s fastest-growing home and furnishings brands, is set to launch its initial public offering on December 8, marking a major capital-market debut for the D2C-led furniture and mattress maker. The three-day IPO will close on December 10, with the allotment scheduled for December 11 and listing on December 15 on the BSE and NSE.

The IPO comprises a fresh issue of ₹377.1 crore and an offer for sale (OFS) of 4.67 crore shares by promoters and early investors, according to the company’s Red Herring Prospectus (RHP). The price band is expected to be announced shortly.

Wakefit RHP Highlights: What the Prospectus Signals

Wakefit’s RHP underscores a business transitioning from a single-category mattress brand into a full-stack home solutions company. The company’s strategic priorities over the next 24 months centre on accelerating offline expansion, strengthening supply-chain infrastructure and sharpening marketing intensity.

Key RHP Highlights

• 120+ new COCO (company-owned company-operated) stores planned, led by a ₹30.8 crore capex infusion.
• ₹161.4 crore earmarked for lease, license fee and rental payments for existing stores — signalling a strong push to consolidate Wakefit’s offline footprint.
• ₹108.4 crore set aside for marketing and brand-building, reinforcing competitive positioning against players like The Sleep Company, Duroflex, Sleepwell and Kurlon.
• ₹15.4 crore to be deployed for upgrading manufacturing machinery across its Bengaluru, Hosur and Sonipat plants.
• The remainder will fund general corporate purposes including working capital and operational scaling.

Ahead of the IPO, Wakefit also raised ₹56 crore in a pre-IPO placement from DSP India Fund and 360 ONE Equity Opportunities Fund at ₹195 per share.

Wakefit IPO: Financial Performance

Wakefit reported strong revenue growth as well as a sharp rebound in profitability in FY25:

For the six months ending September 2025, Wakefit reported ₹724 crore in revenue and a profit after tax of ₹35.57 crore, indicating improving operating metrics and margin normalisation. The company attributes long-term profitability to its integrated manufacturing model, optimised store network and improving scale efficiencies.

IPO Structure & Offer Terms

Wakefit’s IPO will open for subscription from December 8 to December 10, with the allotment finalised on December 11 and shares credited on December 12. Listing is planned for December 15.
The issue follows the standard book-built structure with reservations of:

• Not less than 75% for QIBs
• Not more than 15% for NIIs
• Not more than 10% for retail investors

Axis Capital, IIFL Capital Services and Nomura Financial Advisory are the book-running lead managers, while MUFG Intime is the registrar.

Wakefit competes with The Sleep Company, Duroflex, Kurlon, Sleepwell and several emerging D2C brands in the mattress and furniture category. Unlike many peers that rely on outsourced manufacturing, Wakefit’s vertically integrated model—spanning design, manufacturing, distribution and retail—offers stronger control over cost, quality and delivery timelines.

However, the RHP also highlights industry challenges such as rising input costs, competitive pricing pressure and the capital-intensive nature of offline expansion. Sustaining profitability as the company balances aggressive store rollout with customer acquisition will remain a critical investor focus.

About the Company: A Full-Stack Home & Furnishings Platform

Founded in 2016, Wakefit has evolved from a memory-foam mattress startup into a full-stack home solutions brand. It offers a diverse catalogue—mattresses, furniture, bedding, modular solutions and home accessories—sold through its website, COCO stores and leading online marketplaces.

The company’s manufacturing footprint is significant, with five facilities located in Bengaluru, Hosur and Sonipat, equipped with automation systems such as robotic arms and roller belts. This vertically integrated model allows Wakefit to control design, production, distribution and customer service under one umbrella—an operational advantage over traditional competitors.

Outlook

With a strong brand, rapidly growing omnichannel presence and improving profitability signals, Wakefit’s IPO arrives at a time when investor appetite for consumer discretionary plays is heating up. Yet, the company’s reliance on aggressive expansion, marketing spends and exposure to competitive pricing pressures remain important considerations for investors evaluating long-term value.